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Project Report
Manageme By
nt of Living Group 3J
Suman Sourav
Shivangi
Competitors
The major competitors of Living roof are Dj vu restaurant,
Dylans caf, Pine Borough, City Hut family Dhaba. However,
Quizine restaurant and La me are also considered as one of the
secondary competitors of Living roof restaurant.
Service marketing triangle
The service marketing triangle or the Service triangle
underlines the relationships between the various providers of
services and the customers who consume these services.
Relationships are most important in the services sector. The
service triangle outlines all the relationships that exist between
the company, the employees, and the customers. Furthermore,
it also outlines the importance of systems in a services industry
and how these systems help achieve customer satisfaction. The
service marketing triangle can also be used to market the
service to consumers. The marketing completely depends on
the interaction going on between the customer and the service
provider. We will look at each of these interactions in detail, and
also read on how to market to your customer based on the
interaction.
There are six main relationships in the Service triangle. And
based on these relationships, there are three ways to apply
marketing tactics.
a) Company to Customers One of the critical thing is to
communicate the service strategy to the customers.
b) Company to employees Another important relationship in
the service triangle is that between the company and the
employees.
c) Company to systems To keep customers happy, efficient
and productive systems need to be developed.
d) Customers to systems Although building systems are
important, these systems should be most useful to
customers.
e) Employees to system Not only do systems leave
customers frustrated, but they also leave the employees
frustrated. Both, Employee motivation, and the
empowerment of employees depends on the type of
system you hand over to your employees.
f) The most important relationship in the service triangle
Employee to Customers The employee to customer
interaction is also known as the moment of truth or
critical incidents
There are three types of marketing which happens within the
service marketing triangle
Internal marketing Marketing from the company to the
employees
External marketing Marketing from the company to the
customers
Interactive marketing Marketing between the customers
and the employees
Internal Marketing of Living Roof
Internal marketing based on the service triangle is all about.
Building confidence and motivation in your employees, so that
they build excellent relationships with the end customers and
the company gets the money.
Careful selection of employees which is approximately 15 in
Living roof caf. Some of them have Hotel Management
training. Also, 25% profits earmarked for employees and 100%
reward bonus for meeting standards. Tips are allowed, any
customer can give any amount of tips to the waiters.
Service Mix
Service mix is of five types:-
Pure Product- It only involves product and does not involve
any service.
Product with some service- It involves product withs some
or little service which does not influence their selling of the
main product.
Combination- It involves the amalgamation of product and
service both.
Service with some product- It is mainly concerned with
providing service with some product selling.
Pure service- It provides pure service and does not involve
any product selling.
Living roof service mix is a combination service mix as it uses
products and service in equal proportion to meet customer
expectations.
Service quality and GAP Model
GAP 1: Gap between consumer expectation and management
perception: arises when the management or service provider
does not correctly perceive what the customers wants or needs.
GAP 2: Gap between management perception and service
quality specification: this is when the management or service
provider might correctly perceive what the customer wants, but
may not set a performance standard.
GAP 3: Gap between service quality specification and service
delivery: may arise pertaining to the service personnel. This
could arise due to there being poor training, incapability or
unwillingness to meet the set service standard.
GAP 4: Gap between service delivery and external
communication: Consumer expectations are highly influenced
by statements made by company representatives and
advertisements. The gap arises when these assumed
expectations are not fulfilled at the time of service delivery.
GAP 5: Gap between expected service and experienced
service: this gap arises when the consumer misinterprets the
service quality.
SERVQUAL Score of Living Roof
SERVQUAL Model involves five determinants:-
Reliability- It is the ability to perform the promised service in a
dependable and accurate manner. The service is performed
correctly on the first occasion, the accounting is correct,
records are up to date, and schedules are kept.
Responsiveness- It is the readiness and willingness of
employees to help customers by providing prompt, timely
services, for example, mailing a transaction slip immediately or
setting up appointments quickly.
Assurance- It enables the customer to feel free from danger,
risk or doubt including physical safety, financial security, and
confidentiality.
Empathy- It includes factors such as trustworthiness, belief,
and honesty. It involves having the customer's best interests at
a prime position. It may be influenced by company name,
company reputation and the personal characteristics of the
contact personnel.
Tangibles- These are the physical evidence of the service, for
instance, the appearance of the physical facilities, tools, and
equipment used to provide the service; the appearance of
personnel and communication materials and the presence of
other customers in the service facility.
The survey of Living roof is done by asking a set of 22
questions by these five determinants, and their score is
mentioned on the table. Also, the attached excel sheet contains
all the calculations.
marketing.xlsx
The above graph shows how badly Living roof is doing in the
department of responsiveness.
Observations from the SERVQUAL evaluation
The Assurance parameter is relatively good with respect to
other parameters i.e.; employees are polite and trustworthy as
expected by the consumer. Responsiveness parameter is very
low scored as the service time is quite long. The sample
customers expectations were quite high as they belong to
major metro cities where all SERVQUAL parameters are very
high which resulted in negative SERVQUAL score for all the
parameters for Living Roof.
Recommendations
Living Roof has to reduce its Service time to increase its
responsiveness score. Employees should also start giving more
individualized attention to each customer to increase its
empathy parameter. The most important thing that Living roof
can do is to increase their number of employees.